Why Banco Bradesco (BBD) is a Top Dividend Stock for Your Portfolio

Company Overview - Banco Bradesco (BBD) is headquartered in Osasco and operates in the Finance sector, with a stock price change of 69.63% since the start of the year [3] - The company currently pays a dividend of $0.04 per share, resulting in a dividend yield of 5.91%, which is significantly higher than the Banks - Foreign industry's yield of 3.16% and the S&P 500's yield of 1.5% [3] Dividend Performance - The current annualized dividend of $0.19 represents a 75.9% increase from the previous year, with an average annual increase of 3.80% over the last 5 years [4] - Banco Bradesco's current payout ratio is 7%, indicating that it paid out 7% of its trailing 12-month EPS as dividends [4] Earnings Growth Expectations - The Zacks Consensus Estimate for 2025 projects earnings of $0.42 per share, reflecting a year-over-year growth rate of 27.27% [5] - Future dividend growth will depend on earnings growth and the payout ratio [4] Investment Considerations - High-growth firms or tech start-ups typically do not offer dividends, while larger, established companies are often viewed as better dividend options [6] - Despite the challenges high-yielding stocks may face during rising interest rates, Banco Bradesco is considered a compelling investment opportunity with a strong dividend profile and a Zacks Rank of 3 (Hold) [6]